Maharashtra farm loan waiver: Chief Minister Devendra Fadnavis on Sunday announced a blanket farm loan waiver of Rs 35,000 crore. The farm loan waiver, the largest announced by the state, will benefit lakhs of farmers. The loan waiver is a departure from the state’s position of providing waivers to marginal farmers and farmers with small land holdings. The state government expects that the farm waiver will not exceed the Rs 35,000 crore mark. Here is a list of 10 things you need to know about the Maharashtra farm loan waiver:
1) The state has 1.36 crore farmers and their loans add up to a total of Rs 1.14 lakh crore, while the state government has allocated Rs 35,000 crore for loan waivers.
2 ) The state government thinks it will be able achieve its target by weeding out non-farm categories. These parameters will ensure that farmers with large land holdings, politicians who hold large tracts of land and business houses do not get loan waivers.
3) The loan waiver is expected to bring immediate relief to 31 lakh farmers in Maharashtra.
4) The loan waiver for 31 lakh small and marginal farmers ads up to Rs 30,000 crore. Maharashtra government thinks the total loan waiver amount won’t cross the Rs 30,000 crore mark, even though allocation has been made for Rs 35,000 cr.
5) The state government’s budget for the current fiscal year (2017-18) is Rs 2.57 lakh crore, of this amount Rs 1.77 lakh crore is for essential commitments of the state. The waiver has left the state with only Rs 0.80 lakh crore.
6) The state government does not want the loan waiver to become a bailout package for cooperative banks and agriculture societies controlled by politicians.
7) A core committee of senior Maharashtra ministers and representatives of farmers will help formulate guidelines to ensure that only needy farmers get farm loan waivers.
8) The state government wants that farmer representatives such as Swabhimani Shetkari Sangathana Chief Raju Shetti and others would assist the government in forming pragmatic parameters.
9) In the last fiscal year (2016-17) the total crop loans allocated were Rs 51,235 crore. This had benefited 53 lakh farmers in the state.
10) Data shows that between 2014 and 2016 the amount of money disbursed to farmers increased by Rs 7,942 crore that benefitted 7.66 lakh farmers.